Tagged: Investorist

Investorist finds that educated Chinese buyers are doing their homework – at home and abroad

Two-tier pricing seen as representative of ‘cowboy’ selling agents

Safety of investment trumps yields for majority of Asian investors

Off the back of their latest China Connection event, Investorist, the world’s leading B2B off plan property platform, is ready to dispel the urban myth that Asian buyers will pay more for your property.

Jon Ellis, Founder and CEO of Investorist, explains,

“Chinese buyers are extremely educated when it comes to buying property in overseas markets. Many choose to invest in the same property as their family, friends or colleagues and they seek local advisors in the country that they intend to buy in. Prior to the purchase, Chinese buyers will verify what they are being told by their agent in China and may well also arrange to film inside the project showroom simply by using their mobile phone, a practice which is common for apartment sales in several countries.”

This verification of details includes serious attention to the price of the development. If there’s a discrepancy between the price given by the Chinese agent and the price from the local advisor in the country where the development is based, the buyers will want to know why. According to Investorist’s findings, this can be make or break the deal. Developers seeking to be truly successful in Asia need to price their properties fairly for the market. Investorist’s Jon Ellis continues,

“Two-tier pricing was often introduced as a result of aggregators and middlemen. However, such an approach has become representative of ‘cowboy’ selling agents and as a result has largely disappeared from the industry now. Developers looking to roll out two-tier pricing for new projects should think very carefully about how this will be perceived by Asian buyers.”

For developers and selling agents looking for repeat buyers – which most should be, given how much easier it is to sell to a repeat buyer than a new contact – fair and transparent pricing makes even more sense. If buyers are put off by two-tier pricing, developers who insist on sticking with it may well find themselves with unsold completed apartments on their hands, while those who’ve priced fairly manage to sell everything off-plan.

At the recent China 2016 International Property Outlook, Investorist reported that the desire for safe investment locations would be the main driver of Chinese investment in overseas property in 2017. The report also found that security and longer-term capital appreciation were considered more important than investment yield. Developers’ approach to pricing structure is one way in which the safety of the investment can be judged.

Investorist’s Jon Ellis concludes,

“We’re dealing with a market of mature buyers in China now and developers need to respect their desire for safety and for clarity. Chinese investment in overseas property is showing no signs of slowing down and the developers who are appropriately respectful of Asian buyers can look forward to achieving healthy sales in 2017.”

For more information about global off-plan property, contact Investorist by visiting www.investorist.co.uk or calling the team on +44 (0)203 761 7380.

Building networks is essential in hot buyer markets such as the UAE, China and South East Asia

2017 will see technology become an integral element of the UK property industry

As competition within the UK property market intensifies in the New Year, developers will need to work harder to ensure their projects stand out and attract the most desirable cashed-up buyers. Jon Ellis, Founder and CEO of the world’s largest off plan B2B property marketplace, Investorist, offers his expert advice on how to maxmise your chances of success in 2017:

Adapt marketing content to be accessible on a global scale

“Developers must ensure that when marketing projects to potential investors in non-English-speaking nations, materials are translated into the native language. For example, Mandarin for the Chinese market, Arabic for buyers in the UAE and Spanish and Portuguese for investors from South America, you may be missing valuable opportunities to connect with non-English speaking buyers otherwise. Having someone within the team who speaks the native language will also significantly enhance overseas investors’ experience.”

Be aware of new and existing legislation

“Developers must be constantly monitoring all legislation in place and seek approvals from the necessary regularity bodies in the nation in which they are marketing projects. This would be the Dubai Land Authority or the RERA, the regulatory arm of the Land Department in Dubai for example, which has recently implemented new rules.”

Assemble a list of motivated, product-specific selling agents

“When putting together a list of selling agents that would best suit your residential or commercial product, developers should remember the need to engage with these agents in a similar manner as they would with direct buyers. Agents may well already have a full book of projects, so in order to engage them, developers must present their project in a way that excites and motivates the agents. Often agents have a preference for developers they have worked with previously and will have regular clients whose projects may take priority. This means new developers will need to compete for attention, build relationships and not just rely on any one agent or market.

4. Establish a strategy for relationship building with your networks

“Building networks and relationships is essential within many hot buyer markets, including the UAE, China and South East Asia. The agent-developer relationship is on based on immense trust and takes time to develop. The agency will likely invest a lot of money and time educating their sales teams about the product they are selling. In China for example, we undertake a number of pre-vetting activities to find agents who have a strong interest in selling each type of project before arranging the face to face meetings which are crucial in building trusted relationships”.

“Anecdotally, we know that many of the individual agents will spend upwards of £7,000 on attracting each end buyer. Due to the significant investment they make in their sales team, lead gen and education, agents are not prepared to take a risk on people or businesses they don’t know well or have not met either in person or online. Listing on Investorist is a good way to build an online profile and trust and live events like Investorist’s China Connection work well in overcoming barriers and enable potential partners to meet and discuss opportunities to do business.”

Embrace technology

“2017 will see technology become an integral element of the UK property industry. Those who don’t embrace it could find themselves losing business to more progressive companies. Developers can use Investorist’s portal to access thousands of selling agents, build relationships, attend events and present stock in the most effective way. It is even possible though the platform to launch projects simultaneously in multiple countries and languages, effectively re-creating the hype of a live auction event to really engage competitive buyers to secure their preferred properties. ”

Investorist specialises in off plan property, providing an online, global B2B marketplace. With offices in the UK, Australia, China, Singapore and United States, $45B in listed property and more than 5,500 users, Investorist is the world’s leading property network and management tool connecting thousands of property professionals globally.

For more information, contact Investorist by visiting www.investorist.co.uk or calling the team on +44 (0)203 761 7380.

Birmingham has already achieved international renown as the UK’s second city, but now new data from revolutionary trading platform Investorist has revealed that “Brum” is beating other second cities around the world when it comes to off-plan property investment.

There’s no doubting Birmingham’s popularity as a travel destination. Birmingham International Airport has recorded 19 consecutive months of record-breaking growth, with 1,207,796 passengers travelling through the airport in September 2016 alone, up by 15.8% on the previous September. Long-haul growth rates are ahead of short-haul, at 21.5% and 15.1% year-on-year respectively.

But its not just visitors Birmingham is attracting. The city is hugely popular with investors, as Jon Ellis, Founder and CEO of Investorist, comments,

“Birmingham offers an excellent investment landscape, from high end retail space to some outstanding residential property developments. It’s a city that appeals to investors on many levels and the post-Brexit drop in the sterling’s value has made it even more attractive to those who have other investment currencies to spend – particularly dollars or currencies pegged to the dollar.”

Investorist’s latest data brings Birmingham’s excellent value for money into sharp focus by comparing it with two other world-class second tier urban centres: Brisbane and Brooklyn. In Brooklyn, the best value apartment listed came in at £10,793 per square metre, making it the most expensive of the three centres. Brisbane was next, at £3,976 per square metre, while Birmingham offered the best value for money at just £3,068 per square metre.

Brooklyn apartment £723,189

Brisbane apartment £246,543

Birmingham apartment £135,000

The figures compared off-plan one-bedroom/one bathroom apartments in the three centres. The cheapest one-bed/one bath apartment listing on the Investorist site in each location was considered.

Not only was the Birmingham property the best value of the three, it was also significantly closer – only 0.8km from the central business district and the employment opportunities that the UK’s second city has to offer. The Brisbane apartment was 3km from the CBD, while the Brooklyn unit was 2.6 km away.

Investorist’s Jon Ellis continues,

“Quite simply, investors can get more for their money by looking at off-plan buy-to-let homes in the UK right now than they can in many destinations around the world.

“Demand for good quality rental properties in the UK is underpinned by a range of factors that should see it weather the Brexit fallout, such as the increasing size of the private rental sector and the significant deposit requirement faced by first time buyers.

“Both the underlying market conditions and the value that UK second cities offer should stand the sector in good stead as far as off-plan residential investment over coming years is concerned.”

For more information about global off-plan property, contact Investorist by visiting www.investorist.co.uk or calling the team on +44 (0)203 761 7380.

“Only the most forward-thinking and nimble developers are changing and evolving their strategy in light of Brexit to become more innovative in their search for buyers, and investing accordingly.”

That is the sentiment of property marketing expert and proptech entrepreneur, Jon Ellis,Founder of Investorist, the world’s largest off plan B2B property marketplace.

Selling successfully in a post Brexit era should be at the forefront of every UK developer’s mind as 2017 approaches and Article 50 is triggered but as Jon observes, too many operators, especially within the UK apartment sector appear to be continuing with the ‘same old, same old’ selling strategies they were using pre Brexit, and as a result, properties are taking much longer to sell as buyers consider their options and their investments much more carefully.

Jon comments, “The smartest developers are looking globally in light of Brexit rather than waiting for buyers to show up on the doorstep.”

Last month’s China Connection event, organized by Investorist Live, is the perfect example of how smart developers are taking proactive steps to selling. Senior representatives from more than 50 agencies from across China attended, with in excess of US$1b of property on offer from six international developers. Investorist set up one-on-one meetings between the selling agents and developers, carefully matching each project with the most relevant parties.

The event’s success and the fact that many missed out on attending, has led to the next Investorist Live: China Connection event being scheduled for 31st October – 4th November 2016 in the rapidly expanding tech hub of Shenzhen and then Shanghai.

Ellis comments, “Our China Connection events have been likened to speed dating for property developers and hand-picked agents. These events have resulted in some very positive new partnerships which will ultimately deliver wealthy Chinese and South East Asian buyers.”

With ever increasing numbers of UK developers keen to develop global sales channels and Asian selling agents urgently seeking UK stock, not least due to the fall of sterling, Investorist Live: China Connection is the ideal event at which information can be shared and deals done. NOTE – DEVELOPERS PAY TO ATTEND

For more information on Investorist Live: China Connection or details of how to attend please contact Andy Grimley, Business Development Manager on andy.grimley@investorist.com or call +44 203 761 7383.

—————————————-ENDS—————————————–

Note to Editors

Investorist is the world’s largest marketplace for the off plan property industry, a B2B sales and business development platform promoting and distributing properties around the globe. Our platform is used daily by leading property developers, brokers, real estate businesses, financial advisors and migration agents.

In just three years Investorist has grown dramatically; now with 10 offices in the UK, US, China, SE Asia and Australia, US$45 billion in listed property in 25 countries, 5,500 plus members and more than 500 projects. These include globally significant projects valued in excess of US$1 billion in London (Battersea Park), Manchester (Media City), New York (Hudson Yards), Miami and Queensland, Australia.

Golden Week ‘most exciting time of the year’ for working with Chinese property buyers (Investorist)

Chinese passenger numbers during 2015 Golden Week rose by a record 10% (Chinese state media)

Manchester and London earmarked as top spots for Chinese Golden Week buyers (Investorist)

China’s National Day Golden Week, a week-long national holiday that starts on 1 October, is known for being the most active week of the year when it comes to buying and selling property.

Held to celebrate the founding of the People’s Republic of China, the National Day Golden Week holiday sees many citizens taking the opportunity to travel around China: in 2015, according to Chinese state media, 100 million people crowded onto the train network over the course of National Day Golden Week, an increase of 10% over the previous year.

Golden Week is also an opportunity to travel overseas and many wealthy Chinese combine business and pleasure by taking a holiday that enables them to investigate overseas’ property markets first hand.

“The second Golden Week of the year, held at the start of October, is the ideal time for Chinese investors to visit the countries they plan to purchase properties in. It’s an incredibly busy time for all those with Chinese buyers – demand rises sharply and companies need to have plans in place to respond to a surge of enquiries over the course of Golden Week and the weeks that follow.

“It’s the most exciting time of the year for working with Chinese property buyers – large numbers of deals are set up and deals done in this single week. In fact our statistics show a 46% increase in enquiry rates for properties listed on the Investorist site in the lead up to Golden Week”

Shopping for everything from shoes to chalets has become a traditional part of the holiday festivities and travelling overseas in pursuit of designer bargains is becoming increasingly common. Chinese spending in Oxfordshire, for example, rose from £8 million to £20 million in the decade to 2015, according to Visit Britain, thanks largely to the huge popularity of Bicester Village as a retail destination.

UK property stock is also on many Chinese visitors’ shopping lists at this time of year. According to figures from Visit Britain, Chinese visitors to the UK have risen from 89,187 in 2009 to 269,631 in 2015. Of those who visited in 2015, 178,770 (66%) did so during the latter half of the year.

Investorist’s Jon Ellis observes,

“This time of year is definitely when we see increasing numbers of Chinese investors investigating the UK’s property sector for themselves. Appetite for real estate is very seasonal when it comes to Chinese buyers and National Day Golden Week brings a serious boom each year, both from investors online in China and those here in the UK in person.”

Investorist is well prepared for the annual surge. The company’s recent China Connection event enabled developers a real-time dialogue with Chinese agents, just ahead of Golden Week, to discover the most sought-after areas of the UK right now. Manchester took the top spot, with London coming a close second, allowing the Investorist team to be fully prepared for the October increase in enquiries for these locations.

For more information, contact Investorist by visiting www.investorist.co.uk or calling the team on +44 (0)203 761 7380.

Revolutionary property trading platform Investorist has reported that China remains the most promising source of funds for overseas developers, following its China Connection event held over 5 to 9 September 2016.

Spanning Beijing and Shanghai, the event saw industry experts come together to consider the current – and likely future – state of the international property investment market.

Senior representatives from more than 50 agencies from across China attended, with in excess of US$1b of property on offer from six international developers. Investorist set up one-on-one meetings between the selling agents and developers, carefully matching each project with the most relevant parties.

Jon Ellis, Founder and CEO of Investorist, comments,

“The success of the China Connection event has been very gratifying and with many attendees already committing to our next show, it has exceeded our already high expectations. They say in China that ‘September is Gold and October is Silver’ when it comes to selling property, and Golden Week (1-7 October 2016) is the peak week of the year for selling property. All Chinese take off the whole week to take advantage of the national holiday, giving people time to meet with their local agents and advisors, research international purchases, discuss their plans with their families and sign contracts.

“Ahead of Golden Week, we were delighted to discover the most favoured locations of Chinese selling agents. The USA tops the list, while the UK and Australia are also important markets. Agents are seeking property investment for both now and future years – they are committing long-term to their preferred locations and China is clearly the most promising source of funds for overseas developers right now.”

In the US, it is California, New York, Florida and Texas that are attracting the most attention, according to the property developers and master agents / lead brokers who attended the Investorist event.

In the UK, London and Manchester hold sway, with some agents reporting enquiries up by more than 100% since the Brexit vote, thanks to the devaluation of the pound. However buyers are more cautious, which is translating into longer conversion times – the sales themselves are still going ahead. Property priced between £100,000 and £300,000 for fixed income real estate projects were the most popular investment choice.

In Australia, townhouses and single-family dwellings in leading cities were found to be the most sought after properties. Chinese investment in Australian property was impacted significantly when the policies of the major Australian banks came into effect in May 2016, with lending approvals cut to investors with pure overseas income, where the source of funds was not clearly identified. The result has been a notable drop in the pace of Chinese investment in Australian real estate.

However, most agents are optimistic about the future and are still keen to source Australian properties. Many are looking to expand the types of investment product they offer to clients in order to prepare for 2017, when they expect the Australian investment loan market to be back on track again.

Looking ahead, it seems proptech is firmly on the agenda for Chinese agents dealing in global real estate. Investorist’s clients are already users of a sophisticated B2B platform with proprietary property search, marketing, sales and stock management tools, and with the Chinese renowned early adopters of new technology, proptech is no exception.

Investorist is rapidly earning a reputation as the most valuable and effective company in China for facilitating B2B cross border property transactions. Investorist is already preparing for its next show in late October 2016. Two of those who attended the September China Connection have already booked to attend the October show; while one developer has since slashed his media spend in order to focus more on B2B sales, thanks to the success experienced through Investorist’s China Connection.

For more information, contact Investorist by visiting www.investorist.co.uk or call the team on +44 (0)203 761 7380.

It’s been almost three months since Britain decided and the property industry is still trying to interpret the impact that Brexit is going to have, both the short and more long-term effects.

However, amongst the array of predictions, both positive and negative, Investorist Founder and CEO, Jon Ellis, is optimistic regarding the UK’s post Brexit off plan property market.

Launched in 2013 in Jon’s home city of Melbourne, Australia, Investorist specialise in off plan property providing an online, global B2B marketplace. With projects all over the world, and offices in Australia, China, Singapore, United States, Vietnam and the UK, Investorist is the leading property network and management tool connecting thousands of property professionals globally.

Indeed, so confident is Founder Jon Ellis in the potential held within UK property, that he has just launched a B Round Capital Raising to fund Investorist’s continued global expansion with an emphasis on further growth in the UK market, an office in Manchester and continued expansion of the London team.

Jon explains more,

“With our strong focus on the UK market, Investorist is buying Pounds ahead of its cash flow requirements in the country. We believe it is currently an excellent time to invest in the British currency and therefore in the country’s diverse property market.

“At Investorist, we still consider the UK to be at the centre of all things Europe and I believe it will remain as the HQ for all EMEA property happenings. We have certainly noticed a heightened interest in the UK market which is leading to new opportunities being uncovered. There are a range of property-related investment sectors strengthening in confidence, for example the serviced apartment model and the hotel market are both standing out as prime investment prospects.”

Jon is a successful property marketing expert, who has developed and executed marketing strategies for over 100 property developments in Australia and overseas markets. Jon led a bootstrapped team to build Investorist.com, the world’s first B2B off plan property portal and developed the sophisticated software that manages these complex transactions ahead of raising close to $4.5m from members to expand the platform globally.

Jon’s idea developed into a brilliant proptech solution to industry-wide problems globally: lack of transparency, sales duplication and geographical and language barriers. This success has enabled Investorist to become the go-to technology for those working in off plan property, constantly connecting people across the globe in order to achieve individual success.

Post-Brexit Manchester offers better value when it comes to residential off-plan property investment than either Melbourne or Miami, new data from revolutionary trading platform Investorist has revealed.

The company’s listings have shown that a two-bedroom, two-bathroom apartment of approximately 70 sqm can be purchased off-plan for £234,000. An equivalent apartment in central Melbourne would set an investor back about £256,000. Miami was the most expensive of the three, with a comparable property costing around £360,000.

Manchester has just been recognized by the Economist Intelligence Unit Global Liveability Survey as the UK’s best city and one of the top 50 cities globally. Not only is it an excellent investment choice due to its value, but the fall of sterling since the UK’s Brexit vote has opened the country up to investors who previously considered it too expensive.

“The drop in sterling represents a huge opportunity for those looking to enter the UK market much more affordably than before the referendum. While prime central London is still considered expensive and many believe it is oversupplied in terms of residential stock, the northern powerhouses of Manchester, Liverpool and Birmingham are all shining on the international investment stage right now.”

Investorist is the global marketplace for the off- plan property industry. The company’s UK branch (it also has offices in the US, Singapore, Vietnam, China and Australia, where it was founded) experienced an immediate increase in enquiries from foreign investors after the Brexit decision.

Buyers from China and the Middle East were particularly keen to take advantage of sterling’s decline and avail themselves of off plan investment properties that had effectively had their value slashed overnight.

“The decision to leave the EU created a number of opportunities for investors thanks to the reaction of currency markets,” continues Investorist’s Jon Ellis. “Interestingly, we’ve found that certain countries have shown a preference for particular UK cities. Liverpool, for example, is proving popular with investors from the United Arab Emirates. Brexit really has created some major opportunities for those looking to get in on the UK’s residential property market.”

The pound plummeted in the immediate aftermath of the Brexit decision and has declined further since, reaching its lowest level in three years on 15 August 2016. It has fallen 12% against the Euro and around 10% against the US dollar, with currency company Caxton FX reporting that two airport Bureaux de Change were selling Euros at 99 cents to the pound in mid-August.

This new economic era has highlighted the importance of the UK’s post Brexit property market, with Investorist standing at the forefront of those committing to the sector.

For more information, contact Investorist by visiting www.investorist.co.uk or calling the team on +44 (0)203 761 7380.

Political and economic factors look set to support a sustained trend (Investorist)

Investorist Live: China Connection exclusive event 5-8 September 2016

Brexit is proving no obstacle to Chinese investors, who remain hungry for a slice of the UK’s property sector. In fact, the drop in sterling’s value has created an excellent opportunity for overseas investors in the UK.

“The fall in sterling’s value after the Brexit vote led to many investors rushing to pick up property in the UK, which had suddenly become much more affordable. What we’re seeing now is the continuation of that trend, but with purchases by more risk-averse investors. The continuing reduction of the pound’s value has given many investors time to consider the Brexit implications from all angles and most have decided that the UK is still a strong, viable option.”

The weeks since the referendum have been busy ones. Affinity Sunny Way, the overseas investment arm of Affinity Global Real Estate, has observed a 10% increase in Chinese people travelling, with managing director David Wei commenting that,

“…lots of them come to buy property. A few companies dealing with [property investment] from China in the UK have become really busy, and they’ve had to hire more people.”

Firms such as Investorist have also noticed a significant rise in interest in the weeks since the Brexit vote. The rise comes after what has already been a significant period for Chinese interest in UK property – Chinese buyers accounted for 23% of all new residential property purchases in London over the past 18 months, according to Savills.

The UK is not alone however in experiencing a huge Chinese appetite for its properties. According to CBRE, Chinese investment in overseas real estate totalled $16.1 billion in H1 2016, more than double the amount invested in H1 2015. The US was the firm favourite in terms of total investment, while in terms of properties it was hotels and offices that topped the tables.

Manson Zhao, Investorist’s General Manager in China comments,

“China’s economic slowdown has had a big impact in terms of pushing investors to look overseas for their property investments. Countries like the US and UK offer the attraction of a stable environment – even despite Brexit– and higher returns than domestic investments. It’s a win-win for Chinese property investors and the political and economic factors look well positioned to sustain the trend for quite some time.”

Investorist is responding to the much-increased level of demand with the latest in its series of hugely successful Investorist Live events – China Connection. Commencing on 5 September 2016 in Beijing, the exclusive event will move to Shanghai on 8 September.

China Connection will connect ten leading global property developers with handpicked senior level executives from real estate selling agencies across China. Hundreds of stock-hungry agents are expected to attend in order to snap up the hottest property stock from the UK, USA, Europe and Australia for their clients.

With global forces continuing to draw money out of China for property investment around the world, China Connection’s timing couldn’t be better. It looks like 2016 will be a good year indeed for overseas nations looking to benefit from the Yuan.

For more information, contact Investorist by visiting www.investorist.co.uk or calling the team on +44 (0)203 761 7380.

Brexit prompted an almost immediate response from our members (Investorist)

Leading property PR agency ABPM appointed to promote Investorist’s global marketplace in the UK

As the UK housing market emerges from the cloud of Post Brexit uncertainty, it seems that off plan property is set to benefit from an increase in demand from international buyers. Global interest in UK property and all it has to offer is growing as developers prepare for the September sales surge.

Launched in 2013 in Melbourne, Australia, Investorist specialise in off plan property providing an online, global B2B marketplace. With projects all over the world, and offices in Australia, China, Singapore, United States, Vietnam and the UK, Investorist is the leading property network and management tool connecting thousands of property professionals globally.

The company’s pioneering technology has proven to drive both business efficiency and impressive project sales success, with more than 200,000 property searches undertaken on the platform during 2015.

“Investorist is a truly unique platform and service. It provides developers with a sophisticated stock management, distribution and reporting system. Brexit prompted an almost immediate response from our Investorist members outside the UK, and at Investorist we’re really positive about the opportunities that we see emerging in the UK market.

“As a global business, many of our clients are in international markets such as the UAE, China and SE Asia, and they’re actively looking now to take advantage of property deals locally.”

The company has announced the appointment of leading property PR agency, AB Property Marketing to further grow their presence in the UK market.

“Investorist have a wealth of industry expertise, offering a complete, unbiased view of the property market. They provide a high level ‘matchmaking’ service for sellers and buyers of off plan property, and do not take commissions from any party.

We at AB Property Marketing are thrilled to be working alongside Investorist as they continue to expand their global network, providing efficient, user friendly technology.”

Investorist are available to provide the media with expert industry comment in relation to off the plan property and the UK’s dynamic housing market.